An art collector is like a hunter, only that instead of dogs they have art advisors. Artsy.net, Contents

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2 An art collector is like a hunter, only that instead of dogs they have art advisors. Artsy.net, 2016 Michael Moebius Audrey Hepburn, Tiffany Blue, x 172 cm Giclée print on canvas Contents Welcome to Maddox Fine Art Introduction Art as an Investment The Current Global Art Market The Two Art Markets Artist Classifications An Emerging Artist - Bradley Theodore An Established Artist - Banksy A Blue Chip Artist - Andy Warhol Factors that Drive the Art Market Reasons to Invest in Art Why Invest with Maddox Fine Art Selling Art Portfolio Management Making a Purchase Ancillary Services Visit us Art Market Terminology Contact us 2 Maddox Fine Art 3

3 Welcome to Maddox Fine Art We are a specialist art investment consultancy and the sister company of Maddox Gallery, a group of contemporary art galleries headquartered on Maddox Street in Mayfair, London. We provide clear, unpretentious art investment advice to our clients in order to help them navigate the sometimes dizzying landscape of the contemporary art market. As such, we have a core team of investment art specialists dedicated to providing art investors and collectors with the tools needed to invest wisely in contemporary art. We specialise in identifying emerging artists whose work has the undoubted potential to drastically increase in value. We source work from the next generation of emerging artists attracting both first-time art buyers seeking to invest, and established collectors keen to add new blood to their art portfolios. James Nicholls presents the Columbian Oro Exhibition to the Countess of Wessex. James Nicholls in conversation with Luke Blackall on the London Live TV art show. Maddox Gallery in Mayfair, which serves as our headquarters, is our sister company and committed to exhibiting the work of the most exciting artists in the contemporary sphere. Our team is headed up by our Managing Director and Curator James Nicholls. James is an internationally recognised investment art specialist with many years of experience. He is the resident art critic for the London Live TV channel; the resident investment art expert for British Airways featuring in BA s long-haul inflight programming for the last four years; and a contributing art expert on myriad publications. James is also a Patron of both the National Portrait Gallery and the Royal Academy of Arts. His expertise covers a wide diversity of works from Caravaggio to Banksy, and cutting-edge emerging artists, such as Bradley Theodore. Over the coming pages, we provide a guide to the art market and our services. Inside the Ground Floor of Maddox Gallery s flagship Maddox Street Gallery. 4 Welcome to Maddox Fine Art Maddox Fine Art 5

4 Introduction The global art market has grown exponentially in the last two decades, and collecting art is no longer the preserve of an aristocratic elite. The hunger for contemporary art is now insatiable, with a broad spectrum of society desiring to buy and collect works, not only to enrich their lives via aesthetic appreciation, but also as a serious investment for the future. At Maddox Fine Art we help both the novice and expert navigate the ever-shifting landscape of the global art market and provide advice and guidance on making the right kinds of investments make no mistake, contemporary art is big business, with leading galleries in the UK attracting in excess of 15 million visitors last year alone. Accordingly, the acquisition of art as a highperformance asset class is no longer considered an alternative financial investment, but a key one. The work of an emerging artist bought today for thousands may, one day, be worth tens of thousands or perhaps even hundreds of thousands therefore it is vital to know which artists to invest in. We firmly believe that every acquisition should be a marriage of aesthetic appreciation and wise investment, and we make it our business to offer both the novice and experienced investor the perfect marriage of an enriching and sophisticated appreciation of contemporary art and the financial satisfaction of investment performance. The contemporary art segment of the Mei Moses Art Index has delivered a compounded average annual return of 10.85% over the last 50 years. Source: Artsy.net, May 31st 2016 Andy Warhol Campbell s Soup II : Vegetarian Vegerable, x 84 cm Silkscreen Print in colours on paper 6 Introduction Maddox Fine Art 7

5 Art as an Investment In the highest echelons of the art world, headlines are often grabbed by big-ticket auction sales a Lucian Freud, for example, will sell for US$33 million, or a Renoir for US$15 million. Results such as these get the salesroom cheering but be assured profitable disposals are made a very long way below that level; they just don t make the headlines. At Maddox Fine Art we have work available by emerging artists from as little as 4,000. At this affordable level, you can acquire something from an emerging artist who is already beginning to create an impression in the market, and whose work we believe has the potential drastically to increase in value in the future. From the 15,000-mark we can often supply investors with access to work by more established artists. At this higher price level, you can own a piece by an artist whose name is widely known one who has already attracted significant attention in both the media and the market, and from serious collectors. If you have a particular artist whose work you would like to buy, then we can often ascertain exactly which works are available, and at what price through our extensive international network of art market contacts we can usually source work from artists, studios, agents, collectors, and other galleries. If it s work by one specific artist that you want to acquire, then we can act as your buying agent for a small commission. Conversely, if you have something you are keen to sell, we ll certainly consider displaying it in our gallery (providing it meets our criteria for price performance potential), handle any interest, and administer the resulting sale again, we will charge a small commission for work of this nature. At Maddox Fine Art we provide an extremely comprehensive service, and we can take care of framing, hanging, delivery, storage, and much more besides for further information on these ancillary services please see page 32 of this guide. I think we re going to see a 10-year boom in the art market. Philip Hoffman, CEO of the Fine Art Fund, 2013 Michael Moebius Queen Bubblegum, x 186 cm Giclée print on canvas 8 Art as an Investment Maddox Fine Art 9

6 The Current Global Art Market Market Share of Top 3 Art Countries U.S. 29.5% 2016 Global Art Market Sales GROWTH +20% $27.9 billion GROWTH % $16.9 billion ESTIMATED TOTAL 2016 $45 billion After a small contraction the year before, 2016 saw the global art market expand slightly, increasing by 1.7% from 2015 to be valued at $45 billion. CHINA 18% U.K. 24% 2015 $23.25 billion DEALER $21.08 billion AUCTION ESTIMATED TOTAL 2015 $44 billion One of the catalysts for this increase was that online art market sales rose by 15% from 2015, reaching an estimated $3.75 billion. The global insurance giant Hiscox actually predicts that online art market sales will reach $9.14 billion by Conversely 2016 saw auction sales drop by 41% in the U.S., by 13% in Europe, and by 1.6% in Asia. Asia nonetheless grabbed the largest share of the global auction market, at 40.5%. Blue-chip artists such as Andy Warhol, Francis Bacon, and Pablo Picasso all had lower volumes of art sell at auction, reflecting the ongoing market narrative of supply constraints on the open market due to political and economic uncertainty. An example of this is that a number of notable sales in 2016, such as a $150 million Klimt transaction, bypassed the auction market altogether. Another major statistic is that buyers are embracing the support, transparency and discretion that dealers and galleries provide. Private transactions through dealers are now more important than ever, in 2016 they accounted for 62.5% of global sales, a 20% increase on 2015 when it had previously been estimated that the art market was about half private sales and half sales at auction. The 2017 TEFAF Art Market Report found that Art dealers reported being excited about building their business through online channels. Web-based channels were the most widely cited sales channels through which dealers expected growth, with twothirds of those that responded reporting they saw sales increasing in 2017 through both third-party online platforms and through their own websites. The same Report also stated that the highest growth looks to come from larger dealers with ten or more employees, who expected turnover to increase by 30% on average. Taking into account retail sales from art and antique dealers, Europe, with over half of world s dealers, is now by far the largest continent for art and antiques sales in the world in terms of share of sales volume in Including the dealer market, the U.S. remains the largest country in the world art market, with a 29.5% market share, followed by the U.K. with 24%, and by China with 18%. (See opposite page). Credits: 1. The TEFAF Art Market Report, March This annual report is widely regarded as the most comprehensive summary of the art market available. 2. Artsy.net. A major online resource for art collecting and education. 10 The Global Art Market Maddox Fine Art 11

7 The Two Art Markets If you are investing in art for the first time, it s vitally important to understand the distinction between the two art markets primary and secondary. The Primary Market The first sale of a piece of art, directly from an artist, a dealer or even a commissioned work, is primary. Thereafter, all sales are referred to as secondary, and sources include galleries, private sales and art auction houses. The primary market sets the benchmark in value and is where the skill to predict a potential future art star comes most into play. The Secondary Market The secondary market is where the value of a piece of art can increase drastically, sometimes as much as ten-fold, and in the last ten years that has applied increasingly to artworks in the contemporary sphere at the height of the boom in 2007, total auction sales of post-war and contemporary art exceeded those of Impressionist and modern for the first time in history. In terms of these markets it is vital to recognise the standing of an artist in the holy trinity of emerging, established and blue-chip the three sectors that define the value of an artist or artwork in the public sphere. Retna Gambling, Numbers and Dope, x 244 cm Enamel, acrylic, crystallina and leather on canvas But as jitters hit the global economy, the world s wealthy tend to turn towards alternative assets that are seen as more consistent stores of value, modern artworks being prime among them. Source: Artsy.net The Two Art Markets Maddox Fine Art 13

8 Artist Classifications At Maddox Fine Art we specialise in identifying key works by emerging and established artists: those artists who may have the potential to become household names, or what we tend to refer to in the industry as blue-chip artists. Allow us to elaborate on these different artist tiers... When it comes to contemporary art there are three sectors of interest to the investor: Emerging Artists An emerging artist is one in the early stages of their professional career, and their work will usually be sold on the primary market. They have begun to become noticed, and may already have a minor auction record. Their work is now being collected and they will likely have won prizes, and have started to attract press coverage. You may have to wait some time for their prices to appreciate, and for a secondary market in their work to become established. However, this sector is increasingly attractive to investors as the opportunity to buy work at this level offers the potential for large levels of return on investment. Established Artists Established artists are widely known within the art market and their work will change hands at auction. They will have a gallery sales track record and their work will be found hanging in public galleries, as well as in private collections. They may well be names you will recognise from various press articles that have been penned about them in the public sphere. The best examples of their work offer outstanding investment opportunities. Blue-Chip Artists Blue Chip Artists are household names, and are widely known even outside of art circles. Their works will be found hanging in national galleries and international collections. Many blue-chip artists are now in the twilight of their careers or are no longer with us. The most desirable examples of their work will sell for six or seven figure sums. Although blue-chip works are very tradable, returns may not be as impressive in percentage terms as those from the emerging or established sectors. At Maddox Fine Art we deal in all three categories but we specialise in the emerging and established sectors. Mr Brainwash With All My Love, x 96 cm Silkscreen and mixed media on paper 14 Artist Classifications Maddox Fine Art 15

9 An Emerging Artist Bradley Theodore In each generation, it is rare when an artist emerges that has the potential to become truly iconic. New York City lays claim to many such figures Edward Hopper, Roy Lichtenstein, Andy Warhol, Jeff Koons and Jean-Michel Basquiat. It looks as though another name is about to join that list: Bradley Theodore. Bradley Theodore lives in New York City where his name has become synonymous with the contemporary art scene. Originally hailing from Turks and Caicos, the former street-artist has left his mark on many international cities, such as New York, London, Los Angeles, Oslo and Paris. His depictions of the likes of Anna Wintour, Karl Lagerfeld, Kate Moss and Cara Delevingne in his brightly coloured take on the Mexican Dia de Los Muertos artistic heritage have become recognised by those in-the-know the world over. It is testament to his talent that a documentary titled Becoming has already been made about his life and work. This premiered at the Tribeca Film Festival in In New York he has been compared to Jean-Michel Basquiat for the unmistakable mark he has made, and just like Basquiat the value of his art has started to increase in part because a growing number of investors, as well as highprofile collectors and celebrities, are acquiring his work. An illustration of this is that prices for his smaller works on paper rose have risen by 62.5% in the last two years they were changing hands for 4,000 each in 2015, you would now be lucky to acquire one for 6,500. This is driven not only by his rapidly rising profile, but also due to simple demand-and-supply economics. The supply of his work is constricted because all of his works are original pieces, and thus take time to produce. His last two solo shows Son of the Soil, April 2016 and The Second Coming, April 2017 both held at Maddox Gallery were both huge successes, selling out in a matter of days. Google gathers over 60 artists for Tilt Brush art program. In January 2017 Theodore was signed-up by Google to become one of their first Virtual Reality artists in residence. As such he is one of just 60 artists in the world whom Google have chosen to partner with. Yet further evidence of his rapidly rising profile. Bradley Theodore Queen Elizabeth, x 122 cm Acrylic on canvas 16 An Emerging Artist - Bradley Theodore Maddox Fine Art 17

10 An Established Artist Banksy If one artist has made graffiti respectable, if one artist has carved a path from back streets to international galleries, it s Banksy. Like graffiti artists worldwide, he prefers anonymity. We do know that he is male, English, and that his work first appeared in and around Bristol in the early 1990s. Working freehand, with stencils and spray cans, his output is instantly recognisable not just by his technique, but also for his subject matter. His work is often subversive and anti-establishment but with a generous helping of humour. In a Banksy expect to find rats, apes, policemen, bombs, soldiers and children. His initial popularity as a street artist appealed to gallery owners. Consequently the first Banksy exhibition was organised in 2002 by the 33 1 /3 Gallery, Los Angeles. His work then began appearing at auction often without his approval and frequently sold for rather more than the high estimates. Among the buyers were celebrities like Christina Aguilera. Banksy s popularity with the celebrity crowd was on show at 2015 s Cannes Film Festival. At an auction held at the ultra-chic Hotel Eden Roc to raise funds for amfar, an AIDS charity founded by Elizabeth Taylor, Leonardo dicaprio donated Banksy s work Copper on Cardboard. It quickly sold to one of the well-heeled Hollywood bidders for $1 million. A typically Banksy gesture was the temporary exhibition Dismaland an anti-tribute to Disneyland that he organised in the neglected seaside town of Weston-super-Mare. In place for five weeks during summer 2015, it aped the famous Mickey Mouse amusement parks around the world, sold out every day and is estimated to have bought over 20 million of extra income to the town s traders. It s not just as an artist that Banksy has proven to be a star but also as an investment. The price of his work has grown 20 times in the last 10 years, 200% in the last 3 years alone. His success in galleries and salerooms has had the effect of increasing interest in the work of other street artists and he has created a growing market for this genre of art. Banksy Sweeping It Under The Carpet, An Established Artist - Banksy Maddox Fine Art 19

11 A Blue Chip Artist Andy Warhol If any one artist in the last fifty years has created and dominated a market in an art genre, it s Andy Warhol. His variations-on-atheme, creating many distinctive images from a single master, are recognisable from afar, hugely collectible, and publicly popular. Born in 1928 in Pittsburgh, Pennsylvania, Warhol died in 1987 in New York City. During his 58 years he became and remains America s most famous 20th century artist. From Warhol comes the term Pop Art : Pop for popular, which his work has been in galleries and auction rooms ever since. Warhol is the second top-selling artist in the world s sales rooms, with over $1.58 billion of work sold, beaten only by Pablo Picasso, with $3.02 billion. Amongst his distinctive output are many iconic images: portraits most famously of Marilyn Monroe and Chairman Mao; Campbell s soup cans and Coca-Cola bottles; dollar signs; flowers; Elvis Presley as a gun-slinging cowboy; car wrecks; and shoes (early in his career he worked as an advertising illustrator, and drew hundred of shoes). His New York studio was aptly named The Factory. He worked there with an ever-changing staff of assistants. The silkscreen technique that he developed allowed the studio to produce many images from a single master, with each copy adopting different colour variations. This semi-industrial output means that even today there is an ample supply of Warhol s work available no collection is complete without one or more. Although the price record for a Warhol is a massive $105 million, much of his work is rather more affordable. One example: a silk screen print of Marilyn Monroe which sold at Sotheby s New York for 21,800 in 2002 and resold at Christies London for 158, years later. 78% of Wealth Managers believe Art should be part of a Wealth Management offering (up from 55% in 2014). Source: Deloitte & ArtTactic Art & Finance Report 2016 Andy Warhol Liz Taylor, x cm Silkscreen ink, acrylic and spray paint on linen 20 A Blue Chip Artist - Andy Warhol Maddox Fine Art 21

12 Factors That Drive Bran Symondson Virtue of the Vicious, x 30 x 60 cm AK-47 / Butterflies The Art Market When entering into the world of art, there are several key factors to consider that drive the market, all of which can act as a powerful catalyst to increase the value of an artwork. We outline some of these below and opposite. Gallery Representation & Solo Exhibitions Auction Results Press Corporate Endorsement Gallery representation often plays a critical role When price records tumble in the dramatic If an artist achieves strong press coverage in Corporations with money to spare in their developing an artist s profile. When an artist amphitheatre of a crowded auction room the specialist art magazines, newspapers, radio, marketing budgets like the kudos of being has established a long-term relationship with a media love it. More often than not, there s a story television arts programmes, online blogs and associated with art a recent example of this was gallery, then it is a sure-fire sign that the artist has combining the wealth (of the buyer) and the fame respected publications, then it does a lot to raise the Maddox-represented artist Retna s work considerable merit as such, a solo exhibition is a (of the artist), which enables print and broadcast the profile of that artist. Media attention has appearing on a Justin Bieber album cover. considerable mark of confidence. journalists to write attention-grabbing headlines. inarguably elevated the profile of now widely Maddox Gallery has recently held solo exhibitions for several emerging artists, all of whom we supply investors with access to, including: Bradley Theodore, Dan Baldwin, Chris Moon, Simafra, Tyler Shields and Robi Walters. Lack of Availability of Work If you should be at a solo or group show where red dots predominate beside the work on display, That s fine if you re buying big name artists with a track record on the secondary market. However, many emerging and mid-career artists won t have an auction track record. Often primary sales of their work are in original ownership, so while any auction results will give a measure of an artist s standing, it s always worth looking for evidence of price movement in other art market indicators. known artists, such as Grayson Perry and Tracey Emin, to the financial benefit of the early buyers of their work. Many of the emerging artists that we recommend purchasing work from at Maddox Fine Art have already had excellent press exposure. Public Galleries & Museums Public galleries and museums are keen to acquire Art Fairs Art fairs provide buyers with a single venue where they can see a wide range of work from myriad genres. For artists it provides exposure to a much bigger audience, and often an audience that would otherwise be unfamiliar with their work. Most of the higher profile galleries and auction houses will have booths at art fairs and play their part by inviting their established customers it means the artwork has been sold. An artist that and show work that they consider to be of to attend. is in such high demand will have representation in a number of respected galleries, and a waiting list for commissions, both of which are great signs. These factors are particularly relevant to take into consideration when investing in emerging artists, such as Bradley Theodore, whose solo show at Maddox Gallery in April 2017 sold out in a matter of days. Unsurprisingly, such popularity means he has a backlog of commissions. A story All those multi-million Warhols were once affordable to those with limited means. in the 1960s and 70s Dorothy and Herbert Vogel a postal worker and a librarian from New York saved hard to buy small works by emerging artists, paying a few hundred dollars for each. The Vogels collection is now worth hundreds of millions of dollars. contemporary significance. The same is true of major private collectors. If an artist s work is sought out by the curatorial staff of important collections, then that s as good as a guarantee that an artist s work has great investment potential. Books & Journals When an artist has gained a certain level of recognition, they will often feature in art reference books or have magazine editions dedicated to their work. These are key milestones, and often function as a springboard for the value of the work. 22 Factors That Drive The Art Market Maddox Fine Art 23

13 Reasons to Invest in Art Why invest with Maddox Fine Art Capital Growth Potential Diversification When isolated the contemporary art segment The global art market is by and large completely of the Mei Moses Art Index reveals that uncorrelated to the world s major stock contemporary art has delivered a compounded markets. It can therefore be used by investors average annual return of 10.85% per annum as an excellent portfolio diversification tool in between 1966 and times of economic uncertainty. Post-Brexit the UK is certainly facing a period of economic uncertainty. With negotiations for the UK to leave Investing in a piece of Art means your investment the European Union deadlocked in 2017, UK is Fully Asset Backed investors could be in for a rough ride in the When you invest in a piece of Art you become next few years. the owner of a tangible asset which will always, unlike some other investments such as stocks and shares, have a residual value. Inflation Investing in Art can be an excellent hedge against inflation, as shown in the graph below. At the time Satisfaction of Ownership of writing (October 2017) inflation has just hit Investing in a piece of art won t yield an income as a 5 year high of 3%. it s a capital growth orientated investment. Instead your dividend is the ability to enjoy owning your piece of art by living with it hanging in your home or even in your office. Performance When Inflation is High and Rising Bonds (US) 5% Art (Mei Moses Art Index) 18% Percentage Increase At Maddox Fine Art we believe that actions speak louder than words. The best way we can demonstrate to investors that we are worth taking seriously as art advisors is our track record. We are very proud of the following tangible results: Between the 1st January 2017 and 31st December 2017 the average percentage profit achieved by Maddox Gallery clients was 29.8%. This is the mean figure calculated from the sale of every piece of client-owned work in this period which we had previously supplied to clients between 1st January 2017 and 31st December We have a dedicated section on our website which features numerous signed client case study forms, demonstrating the purchase and subsequent sale of works of art by clients which have contributed to this excellent average return maddoxgallery.co.uk/art-investment/case-studies (password: MaddoxStreet ) The bar chart below compares the average return achieved by Maddox Gallery clients against the performance of other asset classes between 1st of January 2017 and 31st of December 2017: 40% 30% 20% 10% 0% Commodities 13% -10% Equities (US) 2% Oil oilprice.com Gold lbma.org.uk FTSE100 londonstockexchange.com Maddox Fine Art client case study forms Asset class in period from (source: JP Morgan ECJ Capital Research) Asset Class 24 Reasons to Invest in Art Maddox Fine Art 25

14 Selling Art Before you invest in a piece of art, whether it be a piece by a blue-chip, established or emerging artist, it is important to have a clear understanding of the potential exit strategies available in order to realise a profit further down the line. Auction Houses This exit strategy is ideal for works by blue-chip or established artists, where there is an existent, large and well-established secondary market. However, what needs to be taken into account before deciding to send a piece to auction, are the fees for doing so. The leading auction houses can often charge from 12% - 25% of the hammer price. Gallery Sales Due to our relationship with our sister company Maddox Gallery we are able to market our client s artwork via three prestigious London gallery spaces Maddox Street, Shepherd Market and Westbourne Grove. Through this route we have been able to achieve significant profits for our clients, various examples of which can be seen in the case studies section of our website. Artsy Maddox Gallery has an excellent gallery presence on Artsy - one of the world s busiest online art platforms, and we can arrange for any of our clients pieces to be listed for sale on the Maddox Gallery Artsy gallery page. Private Sales Any major market consists of investors looking to buy and investors looking to sell. At any time, we can market clients work on their behalf, aiming to identify an investor or collector who would like to add the work to their art portfolio. This exit strategy can be extremely lucrative for owners of works from sold-out exhibitions, or collections where pieces desired by would-be purchasers are simply no longer available from the primary market. Exhibitions Maddox Gallery regularly holds exhibitions these can be either group shows or solo exhibitions for individual artists. We will often look to include clients pieces in a group show exhibition in order to achieve a secondary market sale. Artnet Maddox Gallery also has a well established profile on the online Art platform Artnet. Artnet, similarly to Artsy, is one of the pre-eminent online art platforms. We can arrange for any of our clients pieces to be listed for sale on the Maddox Gallery Artnet profile. Simafra Tree of Knowledge of Good and Evil, x 160 cm Mixed media on canvas 26 Selling Art Maddox Fine Art 27

15 Portfolio Management Those seeking to invest in art without in-depth market knowledge, or the time to learn and research the market, can be at risk our role is to minimise that risk. The traditional advice given by the art trade is simply to buy work that you like. At Maddox Fine Art, we believe that you should indeed buy art that you like, but only if it has significant potential to grow in value. Harland Miller Who Cares Wins, x 43 cm Lithograph in colours The art market is unregulated, unlike many other work. The gallery runs a regular series of solo and areas of investment. It doesn t take too much joint exhibitions, evening openings and meet-the- research to uncover stories of fakes, ownership artist events. disputes, questionable provenance, and even mis-attribution. The three core values that define Maddox Fine Art are reputation, expertise and trust primarily in our client relationships, but also in our dealings with artists, artists agents, and secondary market suppliers. The unique combination of art market expertise and financial and investment skills gives us the ability to help both new and more experienced collectors acquire and dispose of growth portfolios of modern and contemporary art with confidence. Track Record We are extremely proud of track record. Our advice and ability to supply art at the right price has meant that the average percentage profit we made for our clients in 2016 was 31%. Evidence of this track record is located on the client Case Studies section of our website. (password: MaddoxStreet ) Inside The Secondary Market The visible arena of the secondary market consists of auction houses, galleries and fairs. But there s Keeping You Informed The art market is one of the world s most dynamic market places prices can rise and fall fast, and Gallery Our head office is situated just off New Bond Street in London s Mayfair the beating heart of the fine art district. We have our own three-floor gallery, which includes a sumptuous private viewing room, where you can see the works we suggest purchasing in intimate surroundings, and learn about the provenance of both the artist and the Portfolio Managers The key to our business is understanding our customers and their investment objectives. Our expert Portfolio Managers work together with our clients to define their investment and collecting goals and then seek out and offer works we think meet those objectives. Every client of Maddox Fine Art is allocated to a dedicated Portfolio Manager. another very significant element that doesn t want to be visible art collectors often want to dispose of work discreetly through private sales. We have excellent relationships with many high-profile collectors and are often approached by them when they want to release equity, or simply refresh their portfolio. When this happens, we make works available to our customers that they would otherwise not have access to. there is always something happening. We keep our clients well informed regarding their portfolio, potential acquisitions and disposals, and on news on the market in general. 28 Investing with Maddox Fine Art Maddox Fine Art 29

16 Making a Purchase When you choose to invest in a piece of art with us we will always provide you with some important documentation relating to your purchase, including a signed Certificate of Authenticity and a signed Insurance Valuation. A Certificate of Authenticity A Certificate of Authenticity, commonly referred to by the acronym COA, is an important document which vouches for the authenticity of a work of art. We will always issue you with an individual, signed Certificate of Authenticity for any piece of art supplied by us at the time of purchase. Our advice is simple never buy a piece of art without a COA. A Valuation A Valuation is essential for insuring your piece of art and we will always supply you with a signed valuation with any purchase you make through us. It s not what you look at that matters, it s what you see. Henry David Thoreau Taking Delivery If you have the space, adequate security and insurance then we will always recommend taking delivery of any artwork you purchase through us. This is because art, unlike some other asset classes, is an investment which can be enjoyed at home. If you choose to take delivery of your art, then we can arrange this for you at highly discounted commercial rates we will never add a profit margin to a delivery of a piece of art for a customer but instead organise delivery for you using one of our trade partners at the true cost. Storing your Artwork If you would prefer not to have your artwork delivered to your home or office, then we can arrange for your art to be stored with our partner Art Logistics Limited ( Art Logistics are a well-established operator of secure art storage; their high security storage facility is ideally located midway between the London gallery districts and Heathrow airport. It is fully covered by CCTV and has climate controlled storage rooms. Their expert staff have years of experience in handling and storing valuable and often fragile works of art. Bradley Theodore The Only Queen, cm round Acrylic on canvas 30 Making a Purchase Maddox Fine Art 31

17 Ancillary Services At Maddox Fine Art our primary objective is to assist investors in profiting from a considered investment in art, but we realise that when you buy an artwork there may be a number of other aspects with which you require assistance. We offer a comprehensive service to assist and guide you in ownership of an artwork. As with many other investments, when you buy an artwork there can be several other costs to consider, and without guidance these can mount up and eat into potential future profits. We do what we can to minimise these for you, and we can often supply you with access to services, such as framing and hanging, at commercial rates. Insurance If you are choosing to take delivery of your artwork, then most household or commercial contents insurers will require works of art above a certain value to be declared to them individually. Insurers will often require a valuation proving the items value when amending your insurance policy to cover your purchase. You can use the complimentary Insurance Valuation we provide you with at the time of purchase to satisfy this requirement. In the event that your regular contents insurer quotes an unreasonable revised insurance premium to insure your artwork, we can introduce you to a specialist fine art insurer who will provide you with an extremely competitive quote. Framing The right frame can significantly enhance the appearance of an artwork, but critically, it should also protect it. The vast majority of the pieces we will supply you with will already be framed however, if you are buying an unframed piece it is important to choose the right frame. Maddox Fine Art works with a number of renowned framers and we are happy to arrange for your piece to be framed. We will do so at the commercial cost price, and we will never apply a profit margin to the framing of a customer s piece. Hanging Where and how you hang art not only helps to enhance the aesthetic appearance of your artwork, but also helps to protect its investment value. We are happy to advise you on where to hang your art and, if you should require, we can arrange for a specialist to visit you at home to offer further advice, or install the piece for you. The Connor Brothers Tell Me Beautiful Untrue Things, x 100 cm Giclée, screen print acrylic and oil and hand applied varnish on paper 32 Ancillary Services Maddox Fine Art 33

18 Visit us It is said that beauty is in the eye of the beholder, and it s certainly the case that to truly appreciate an artwork you need to experience it first-hand pictures simply cannot do a work of art justice, even with modern ultra-high resolution photography. As such, the majority of our clients whether they be investors or collectors pay us a visit to view an artwork in person, prior to, or just after, making their first purchase. This is something we greatly encourage, and it serves a dual purpose, in that not only can you come and see some fantastic art hanging here at the gallery, but you can also meet us in person over coffee or even something a little stronger in our sumptuous meeting room. We would love the pleasure of your company, so please do come and pay us a visit. 34 Visit Us Maddox Fine Art 35

19 Art Market Terminology David Yarrow The Untouchables, x 190 cm Photographic print Acrylic Etching A rival to oil paint, coloured pigment is held in A printing process resulting, usually in a work a clear plastic solution. It provides bright, long- with a limited colour range. lasting colour. Gouache Board A thick, heavily pigmented water-based paint. A more modern substrate, board is heavy card with a smooth or embossed surface. A description of a work might, for example, say acrylic on board. Canvas The classic substrate for painting, canvas is a heavy fabric stretched over a wooden frame a stretcher. Impasto The application of paint so thickly that it stands out in relief from the substrate. Intaglio A portfolio word covering printing techniques like drypoint, etching, engraving, where ink is pressed into marks on the printing plate, the ink then transferring to paper as the plate and paper pass Collagraph through a press. A hand printing technique using many separate printing plates to provide limited editions with the visual appeal of an original painting. Limited Edition A print made in a limited quantity, each identified with an edition number so that, say, 14/25 would Condition be the 14th print of an edition of 25. After the You d expect a primary market purchase to be in perfect or mint condition. An artwork that has led a hard life might well be poor, damaged, dirty, crazed, creased, deteriorated, flaked, etc. edition has been completed the printing plates are destroyed. Medium A word describing the way an image is put onto a surface, such as oil, acrylic, pastel, watercolour, Proof When prints are made, the first off are proofs which let the artist or printmaker examine them in detail to see whether any corrections or amendments are needed. Resale Rights When a work is sold on the secondary market for 1000 or more, the original artist may be entitled to a royalty on the sale. The royalty is calculated on a sliding scale that peaks at 4%. Conservation A skilled technique to repair damage and deterioration. Diptych A painting consisting of two panels, each complete in itself, but complementary when displayed next to its partner. collage, etc. Oil A paint type where pigments are mixed in an oil, often linseed. Oil paint dries slowly and some art techniques exploit this to build up mixed and layered colours within the work. Provenance A very important concept in the secondary market, provenance is the record or records that let the work be traced back to its primary market introduction. Without adequate provenance it is difficult for a work to be accepted as definitely by a particular artist. Triptych A work consisting of three panels. Often they are hinged, with the two outer panels forming doors over the central panel, thus providing some protection when not on view. The outside of a triptych may also be decorated, but usually not as elaborately as the inside. 36 Art Market Terminology Maddox Fine Art 37

20 Contact us Maddox Street 9 Maddox Street Mayfair, London W1S 2QE Tel: info@maddoxgallery.co.uk Westbourne Grove 112 Westbourne Grove London W2 5RU Tel: sales@maddoxgallery.co.uk Shepherd Market 5 Shepherd Street Mayfair, London W1J 7HW Tel: info@maddoxgallery.co.uk RETNA Strong Arm, x 152 cm Stainless steel Disclaimer Maddox FA Limited trading as Maddox Fine Art is not regulated by the Financial Conduct Authority and is not authorised to offer advice on investment, whether regulated or unregulated. If you are making investment decisions you should seek advice from an independent financial advisor or other regulated professional. Investments in art can go down as well as up. The information in this document should not be relied on for investment decisions. Maddox Fine Art (together with its affiliates, officers, directors and employees) gives no guarantee, warranty or representation as to the accuracy, completeness, suitability or content of the information provided in this document and shall not be liable or responsible for any errors, omissions or inaccuracies herein. 38 Contact us Maddox Fine Art 39

21 I dream of painting and then I paint my dream. Vincent Van Gogh 9 Maddox Street Mayfair London W1S 2QE Tel: info@maddoxfineart.com Maddox FA Limited